HomeMy WebLinkAboutApprove Resolution No. 4159 Approving and Adopting the Montana Municipal Interlocal Authority Revised and Restated Workers Compensation Program Agreement
Commission Memorandum
REPORT TO: Honorable Mayor and Commission Members
FROM: Anna Rosenberry, Finance Director
Greg Sullivan, City Attorney
Chris Kukulski, City Manager
SUBJECT: Resolution No. 4159 Approving and Adopting the Montana Municipal
Interlocal Authority Revised and Restated Workers Compensation
Program Agreement
MEETING DATE: May 11, 2009
RECOMMENDATION: Approve Resolution No. 4159 Approving and Adopting the
Montana Municipal Interlocal Authority Revised and Restated Workers Compensation Program
Agreement
BACKGROUND: The Montana Municipal Insurance Authority, of which the City is a
member, is seeking to make changes to their Workers Compensation Program agreement for all
members, effective September 1, 2010. Attached is their correspondence, dated March 24 and
March 31, 2009. In his Memo on March 31st, Alan Hulse, CEO of MMIA describes the
changes in the Workers Compensation Program agreement:
“ General Changes:
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As described in my cover memo to you, consistent in all of these agreements is the change in
name from the “Montana Municipal Insurance Authority” to the “Montana Municipal Interlocal
Authority.”
We have also removed all reference to “insurance” as it relates to the MMIA. Instead, we refer
to “Coverage” under the various program agreements.
In addition, for consistency between and among the documents, “Participant” was changed to
“Member Entity”, and “premium” was changed to “Assessment”.
Work Comp Program Agreement: Effective September 1, 2010
In anticipation of the payment of the outstanding obligation on the bonds by August 31, 2010, the
same substantive changes discussed above with respect to the Liability Program Agreement were
made in the Workers Compensation Program Agreement.
Please note that there is a delayed effective date for this revised Program Agreement until
September 1, 2010. However, in the interest of having these documents reviewed once by the
governing city and town councils, we are asking that this document be approved now. Until the
bonds are paid, the existing Workers Compensation Program Agreement will remain in effect.”
FISCAL EFFECTS: None.
ALTERNATIVES: As suggested by the City Commission.
Attachments: MMIA Memo, 3/24/09
MMIA Memo, 3/31/09
Resolution No. 4159
Revised and Restated Workers Compensation Program Agreement, effective 9/1/10
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COMMISSION RESOLUTION NO. 4159
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, APPROVING AND ADOPTING THE MONTANA MUNICIPAL
INTERLOCAL AUTHORITY REVISED AND RESTATED WORKERS’
COMPENSATION PROGRAM AGREEMENT
WHEREAS, the City of Bozeman (Member Entity) is duly organized under the laws of
the State of Montana; and
WHEREAS, Article XI, Section 7 of the Montana Constitution provides that a political
subdivision may a) cooperate in the exercise of any function, power, or responsibility with, b)
share the services of any officer or facilities with, and c) transfer or delegate any function, power
responsibility, or duty of any officer to one or more other local government units, the state or the
United States; and
WHEREAS, Mont. Code Ann. Title 7, Chapter 11, Part 1, (the Interlocal Cooperation
Act) authorizes political subdivisions to create interlocal agreements to jointly perform any
undertaking that each such political subdivision unit is authorized by law to perform; and
WHEREAS, Mont. Code Ann. § 2-9-211, authorizes political subdivisions of the State to
procure insurance separately or jointly with other subdivisions, and to use a deductible or self-
insurance plan, wholly or in part; and
WHEREAS, Mont. Code Ann. § 39-71-403, authorizes public corporations, which term
includes cities and towns, to self-insure, either separately or jointly with other public
corporations for workers' compensation coverage;
WHEREAS, the Montana Municipal Interlocal Authority (Authority) is a joint exercise
of powers entity established pursuant to an Interlocal Cooperation Agreement in accordance with
the provisions of the Interlocal Cooperation Act for the purpose of providing pooled risk
coverage programs for the Member Entity and other political subdivisions executing the
Interlocal Agreement; and
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WHEREAS, the Authority is authorized to exercise necessary powers to implement the
purposes of the Authority as established by the Interlocal Agreement;
WHEREAS, by executing this Revised and Restated Workers’ Compensation Program
Agreement, the Member Entity signatory hereto has heretofore determined and does hereby
confirm that the Assessments and other charges required by the Workers’ Compensation
Program have been and are just and reasonable and advantageous to the public benefit of the
citizens of such Member Entity; and,
NOW THEREFORE, BE IT RESOLVED THAT the City of Bozeman hereby
approves and adopts this Revised and Restated Workers’ Compensation Program Agreement
with a delayed effective date of September 1, 2010.
PASSED AND ADOPTED this 11th day of May, 2009.
______________________________
KAAREN JACOBSON
Mayor
ATTEST:
______________________________
STACY ULMEN, CMC
City Clerk
APPROVED AS TO FORM:
______________________________
GREG SULLIVAN
City Attorney
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